Variety (May 1941)

WcdiieBday, May 7, 1941 RADIO 6] F.F.C. Web Revamp ^Continued from page 29^ ly.callcd meeting to lake final action oil the long-discussed document. Litigation Inevitable Protracted litigation appenrs in- evitable as the industry is preparing to launch court challenges. Most immediate attack probably will be an attempt by National Broadcast- in-' Co. to invalidate that feature oMhe policy which is a death knell lor the Blue web. Strategy meeting of the National Association of Broadcasters executive committee was immedia'.ely summoned by President Neville Miller, who called policy-makers to huddle in New York today (Wednesday) to discuss 'the extreme gravity of the result- ing situation." Attorneys were un- certain e.\actly how to open their counter-attack, but it is certain neither NBC nor Columbia will sub- mit without a struggle. Accomplishments of what Chair- man Fly terms an 'indusjry Magna Carta' would be: 1. Dissolution of the NBC Blue chain. Involving shot-gun sale of gome of NBC's stations, cancellation of certain leases, and tearing up of many affiliation contracts. 2. Immediate revision of all chain- web ajreements to provide an un- precedented amount of latitude for station managements,. and deny net- works any control over the time of their outlets. Allowing 90 days for the bulk of the industry to completely overhaul its operating methods, the Commis- sion majority declared their policies will 'foster and strengthen network broadcasting by opening up the field to competition which now does not exist." Also they intend 'to preserve without loss the contributions of net- work broadcasting to the public and to the affiliated stations, while insur- ing that licensees will exercise their responsibilities under the law.' The majority ducked some of the phases of industry organization and tactics which had been examined at length during the 1938-39 testimony- | taking. Notably the webs' activities : in the talent and transcription fields, 1 public trading in licensees' (meaning | chiefly CBS) stock, and multiple ; ownership by individuals (as distin- guished from webs). While both of the veteran chains were kicked around plenty, NBC re- ceived the roughest treatment. But the regulators emphasized they do not sanctify Mutual. Yet, while , some of the 'reforms' will inflict hardship on Mutual, in general the ; Commi.sh followed a course from which the junior web stands to profit handsomely. Claim Investments Affected Most immediate effect of the new . r-ie.s will be on chain investments. While no show-cau.se order was is- ; sued, both Columbia and NBC must i convince the regulators they should keep their M & O plants in spots where there is 'insufficient* competi- tion between .stations of all kinds. ^ And NBC must prepare to unload— , though the order said divorce clauses of the rules might be extended 'from time to time'—one of its two stations In New York, Washington, Chicago. ; and San Francisco. While other in- dividuals with two or more plants in the same area get off. apparently John Shephard III will have to dump one of his Boston transmitters (WNAC and WAAB), inasmuch as regional chains also are subject to the regulations. Door was closed on any CBS or NBC plans to acquire more stations. 'These chains are sufficiently en- trenched now, the mapority held, al- though no over-all limit was fixed on the number which any web may own or lease. The Commish threw all kinds of exclusivity out the window. No net- . work can tie up a station so that it i.s unable to carry programs of rival organizations. No station can gain the sole right to programs of any chain. Option time, as now consti- tuted, is out. And even when time is booked, there would be no guar- anty that the program goes out since the rules specify affiliates may reject any program at any time for any rea- •son. No Web Jurisdiction The Commish, contrary to inclina- tions of several members and pol- icy-making, subordinates, declined to assume jurisdiction over networks as such. Instead, while citing the provisions of Section 303 (i), which authorize special rules covering chain broadcasting, the regulators will make use of the licensing power and deny permits to any station which lies up with a web using methods on which the FCC frowns. Only insofar as the networks own or lease plants will they be directly touched. Throughout the discussion of the problems and their reforms, the ma- jority took pains to avow their benevolent intentions. The report was said to be. 'based upon the premise that the network system plays a vital role in radio broad- casting and has brought great bene- fits to it.'' Reformers acknowledged that many technical improvements, advances in program production, and coverage of special events would not have happened except for the revenues brought in by the chain method of program distribu- tion. 'We have carefully drawn our regulations so as not to interfere with any of the throe major func- tions which a network performs— the sale of time to advertisers; the production of programs, both com- mercial and sustaining; and the dis- tribution of programs to stations,' the Fly group averred. 'Under the regulations herein set forth, a net- work will still be able to enter into regular affiliation contracts. A sta- tion will still be able to hold itself out as the regular affiliate of a CameFs Summer Plans Include Waldorf' H. 0., Also 'Meek', Cugat, 'Opry' 'Luncheon at the Waldorf will be- come 'Cocktails at the Waldorf when the Ilka Chase half-hour, now on Saturdays, takes over the Friday evening period on CBJ which Al Pearce is vacating for the summer. The 'Wald jrf series makes the switch May 17. Other Camel radio plans for the summer call for the replacement of 'Blondie' with a noveltj show until the fall, the continuance of "Mr. Meek,'-the continuance als( of Xav- ier Cugat and 'Grand Ole Opery,' and the exit of. 'Uncle Ezra." Latter may return in the fall. C.A.B. Farm Survey ^Continued from page 31; given network. A network can still sell the use of its facilities to ad- vertisers in accordance with pub- lished rate schedules in much the same manner as it now does.' The final report in many in- stances was much less vehement in | its criticism than the preliminary report turned in by the special com mittee, but the majority went about as far as the probing panel recom- mended when it came to elTecting reforms. Only one of the individ- uals voting for the rules—Commis- sioner Paul A. Walker—sat through all of the prolonged proceedings, but the only consequence of the new personalities was more discreet phraseology and soft-pedaling of some of the material in the com- mittee report which drew the most fire. Hiunis are compared. For instance, ■ the 20 evening shows which have the highest rural rating are not the same ' as thO!-e having the highest city ' rating (see adjoining chart). Five of ; the 20 programs are different on bnlh , lists. The five preferred by Die \ country, but not the cily, arc: Nr.- ' tional Barn Dance, Gene Autry. 'Bat- : tie of the Sexes.' 'Pot o' Gold,' and 'Plantation Party.' In the daytime, the rural areas prefer seven programs among the top 20 which fail to strike a similr.r chord of response in the city, These seven are: 'Tom Mix.' 'Bachelor's Children,' 'Lorenzo Jones,' 'David Harum,' ''Valiant ^ady," 'Kitty Kcene,' and 'Hymns of All Churches." Furthermore, the C.A.B. has tabu- lated an additional batch of shows whose rural ratings vastly exceed their city ratings. On this list are: 'Plantation Party" Lowell Thomas 'Uncle Jim's Question Bee' National Barn Dance 'Easy Aces" 'Death Valley Days* 'Mr. Keen, Tracer of Lost Persons' 'Battle of the Sexes' Time Or Content? This list, however, has some con- fusing factors in it. It is, for in- stance, difficult (or even impossible) to say whether the sticks prefer these shows because of their content, or because of the time of broadcast. Since none of them goes on the air • than 9 p.m., that makes them rural 'naturals' from ti e time stand- point. The importance of tinic-of-broad- cr..st again crops up when tho.se shows are examined which appeal far more to cily than country people. On this lisi appear: 'Goodwill Hour' Guy Lombardo Helen Hayes Screen Guild Theatre •Take It Or Leave If Wayne King I 'Uncle Waller's Doglioiise' Campbell Playhouse Lux Rcdio Theatre ; Of these nine programs, live are broadcast on or after 9:30 p.m., by I which time the hayseeds pir.;iim;ibly ; arc in the hay. ! The report additionally ^.■Jnta;n^ an ! elaborate table of .sets-in-usc by half- ' hours. This is too coniplici lcd to be worthwhile in straight narraiion. Suffice it to say 'hat percentage-wise, rural set-use is higher than mclror politan set-use until aroimd (1 p.m. Thereafter the city goes into the lead. The C.A.B. statistics are based on research work done late in February and early in March. Approximately 75.000 conripleted interview.s were made in 375 rural commwnitie.s ?nd 2"'. metropolitan centers. S-'me 33.000 of these calls were rural. Pittsburgh—E. E. MacCosbe. of the WCAE engineering staff, has been made a first lieutenant in the Radio Intelligence Division and will report at Fort Mead, Md., Monday (12). for a year's army service. "My 50,000 Watt 'Coming Out Party' Is Set For May 25, 1941 OnE OF fimERICflS CR£flT RflPIO STftTIOnS For listeners—an entirely new and glorious strength of signal, quality of tone, and excellence of programs. For advertisers—an entirely new opportunity to publicize and merchan- dise their products over— The BASIC advertising medium of the Central Atlantic States National Representation by lNTERt^^AT10NAL RADIO SALES NEW YORK, N. Y.